Major UK banks are offering substantial cashback for heat pump installations, but several schemes have limited availability or approaching deadlines. Here's everything you need to know about claiming these rewards before they expire or change.
The transition from gas boilers to heat pumps has become significantly more affordable thanks to bank cashback schemes. With rewards of up to £2,000 available, these programmes can substantially reduce your upfront costs—regardless of how you choose to finance your installation.
However, many of these schemes have limited time offers or are set to change significantly. If you're considering a heat pump installation, acting promptly could save you thousands before these opportunities disappear!
Lloyds Bank Eco Home Reward
Halifax Green Living Reward
Barclays Greener Home Reward
Santander Greener Homes Cashback
Nationwide Green Additional Borrowing
All active bank cashback schemes require installation by a Microgeneration Certification Scheme (MCS) certified installer. This certification ensures:
When choosing an installer, verify their MCS certification status before proceeding. This includes established providers like Fornax, who maintain full MCS accreditation across England and Wales.
With a traditional heat pump purchase, bank cashback directly reduces your upfront costs. For example, a £15,000 installation becomes £13,000 after claiming £2,000 from Lloyds, Halifax, or Barclays.
For those choosing monthly payment options (such as Fornax's Heat Pump Plan), cashback reduces the initial installation cost, which in turn lowers your ongoing monthly payments. The £2,000 reduction is applied upfront, decreasing the total amount spread across your payment term.
Example: A Heat Pump Plan with £2,000 bank cashback applied upfront reduces both the initial cost calculation and subsequent monthly payments throughout the plan duration.
Some banks offer finance options (like Nationwide's Green Additional Borrowing), which can complement payment plans if you hold multiple mortgage products with participating lenders.
Bank cashback schemes apply throughout England and Wales, but regional installer availability varies. Urban areas typically have greater installer choice, whilst rural locations may face longer booking delays.
MCS-certified installers operate throughout English counties and Welsh regions. Providers like Fornax ensure comprehensive coverage, making bank cashback schemes accessible regardless of location within England and Wales.
Contact your mortgage provider today to confirm eligibility for their specific green cashback scheme. With approaching deadlines, early verification prevents missed opportunities.
Select an MCS-certified installer operating in your area within England and Wales. Whether you prefer traditional purchase or monthly payment options like the Heat Pump Plan, ensure your chosen provider meets bank requirements and can complete installation before scheme deadlines.
Most schemes require registration before work begins. Complete this step immediately after choosing your installer to secure your cashback entitlement.
Professional installation by certified engineers ensures compliance with both bank requirements and building regulations. Critical: ensure completion before scheme-specific deadlines.
Submit cashback claims within specified timeframes (typically 3 months for Barclays, varying for others). Your installer should provide all necessary documentation for streamlined processing.
Scheme Changes: Barclays confirmed their current offer changes significantly in January 2026, potentially affecting reward amounts and eligibility criteria.
Closed Programmes: Virgin Money permanently closed new registrations on 30 June 2025, demonstrating how quickly schemes can end without warning.
Capacity Limits: Banks may withdraw schemes once internal budgets are reached, regardless of published deadlines.
Installation Timelines: Quality installers often have booking delays of several months. Starting the process now ensures completion before critical deadlines.
Barclays Greener Home Reward: Changes coming January 2026—current £2,000 scheme ends
Virgin Money Green Reward: New registrations permanently closed (30 June 2025)
Santander Greener Homes: All work must complete by 30 September 2025
Several major banks have either closed their schemes to new applicants or announced significant changes coming soon. These deadlines mean thousands of homeowners could miss out on substantial savings if they delay their heat pump decisions.
Limited Availability Warning: Some schemes have restricted capacity or may be withdrawn at short notice. Banks are not obligated to extend deadlines, and popular schemes can reach capacity limits before official closing dates.
Check Multiple Eligibility: Some customers qualify for multiple schemes if they hold mortgages with different providers.
Stack with Government Grants: Bank cashback typically combines with government support like the Boiler Upgrade Scheme, maximising total savings.
Documentation Preparation: Gather mortgage details, property information, and installer certifications immediately to expedite applications.
Early Booking: Secure installation dates well before scheme deadlines to account for potential delays.
With multiple schemes approaching deadlines or already closed to new applicants, immediate action is essential. Bank cashback provides substantial upfront savings, making heat pump installations more affordable across England and Wales.
Critical timing considerations:
To secure your cashback:
Whether you choose traditional purchase or explore options like Fornax's Heat Pump Plan, bank cashback reduces your initial costs and improves overall project affordability. The key is acting promptly—these opportunities won't remain available indefinitely.